Title
Feasibility Study Request for a Second Redundant Electric Feed to the Allstate Insurance Company Facility.
Brief Description: At the March 14, 2023, City Council Workshop, staff presented a request from the Allstate Insurance Company to have the City perform a feasibility study to establish the feasibility of HPP providing a secondary electric feed to the Allstate Facility. This study will review the best option to supply a redundant feed, reviewing costs, and the option that would also provide the most benefit to our system and other customers within this area of Hudson.
Body
Legislative History
None
Purpose & Explanation
Since the March 14, 2023 Council Workshop discussion regarding a secondary electric feed to the Allstate facility, staff has reached out to the Allstate representatives regarding the cost of the feasibility study to evaluate options and potential costs for the requested study. Allstate has provided the City with an e-mail/letter in which they are willing to pay/reimburse 100% of the feasibility study cost ($17,000.00) to the City. An agreement will need to be drafted by the Solicitor between the City, our Consultant and Allstate for this. Allstate has also indicated that they are willing to participate in financing a future redundant electric feed based on what the feasibility study determines (See attached memo).
In addition to the information regarding the feasibility study, information pertaining to Council questions/requests from the March 14th meeting discussion have been attached. They include the following items:
1. Electric rate (current “E” rate - $0.075/kWh-expires Nov. 30, 2023)
2. Historical electric usage data
3. Historical employee count.
4. Email - Allstate offer to fund the study.
Upon approval from City Council, staff will have an agreement drafted between the City and Allstate for the City to fund the feasibility study upfront with our GPD consultant in the amount of $17,000, to be 100% reimbursed back to the City of Hudson by Allstate upon completion and approval by the City of the study.
Legal Authority for Proposed Legislation
Pursuant to Charter Section 6.04, Contracts & Purchasing:
Competitively bid and advertised for three consecutive weeks.
Joint or Cooperative Purchase Program
X Professional Services
Other [provide explanation]
Fiscal Impact
Currently Budgeted (Account #, $)
X Supplemental Appropriation Required (Account HPP, $17,000.00)
Appropriation Not Required
Does this legislation require use of an emergency clause?
Yes [if so, explain why]
X No
Recommendation
Suggested Action
The City Administration is requesting Council approval to enter into a professional services contract with GPD Group for a feasibility study for a secondary redundant power feed to the Allstate Insurance facility located on Executive Parkway in which Allstate will reimburse the City 100% ($17,000) of the study cost.
Submitted by,
Thomas J. Sheridan, City Manager
Frank J. Comeriato, Jr., Asst City Manager-Operations
Kevin Powell, Asst. Public Works Director-Utilities